TOWN OF MONO M E M O R A N D U M

Transcription

1 TOWN OF MONO M E M O R A N D U M TO: FROM: Council Mark Early, CAO/Clerk DATE: March 21 st, 2018 SUBJECT: Draft Budget RDFD The draft minutes from the March 16 th, 2018 RDFD meeting requested Council approve the budget: Resolution # Little/Rose: THAT the 2018 draft budget be circulated to each Municipality for approval. CARRIED A draft resolution approving the attached budget has been provided in the Council package. Mark Early CAO/Clerk

2 I 2018 DRAFT Budget Budget % Year to date Budget % Approved Share Actual DRAFT Share OPERATING BUDGET Acct's Municipal Operating Levies % Jan 19, Township of Adjala-Tosorontio 50, % 50, , % 4006 Town of Mono 66, % 66, , % 4008 Township of Mulmur 125, % 125, , % 4010 Total Municipal Operating Levies 243, % 243, , % Budget adjustments 4024 Fire Calls MVC 30, , , $4000, reduction per 3 yr avg Interest $300 Reduction, do not receive interest 4030 Donations (Firefighter Assoc. for Equip on truck) Miscellaneous Income , Government Funding , Total Misc Revenues 30, , , Previous Years Surplus/(Deficit) $ O&M 2017 Accum surplus per '17 FS Total Income 273, , , (21,220.00) Expenses 5004 Recognition - Firefighters 1, , Workers Compensation 8, , , CPP Expense Officers Salary 28, , , Per comp w/ Mulmur 5014 Payroll - Hourly 110, , , $15 min wage & Mulmur comp 5020 Total Firefighter Payroll Total 149, , , , , Remun Secretary-Treasurer 2, , , Municipal Admin Costs 4, , , Mileage Fire Prevention 1, , , Public Education 1, , , Postage & Courier Telephone 4, , , Office Supplies 1, , , Bank charges Audit 3, , Insurance 29, , , $1000. addition of VFIS-EAP for PTSD 5054 Legal Fees Dispatch Fees 7, , , $100 increase includes Bariie Dispatch 1.2% COLA adjmt 5060 First Aid & Medical Supplies 5, , , Breathing apparatus maintenance 4, , , $1000 Increase due to need 5064 Protective Clothing Maintenance 3, , , Protective Gear Non-Capital 5, , , Training 6, , , mandatory training needs have increased from prior years, add'l training required to ensure compliance of regulation changes 5070 Radio repairs and supplies 2, , Vehicle maintenance 9, , , Vehicle Fuel & Oil Purchases 7, , , Certifications 1, , Equipment repairs 3, , , Increase to reflect need 5080 Licenses 1, , , Membership fees Consider reducing $ Miscellaneous 1, , Hydro 5, , , Bad Debt Write-off Propane 4, , , Building Maintenance 7, , , Total Operating Expense 124, , , (4,400.00) Total Expense 273, , , Operating Cash Surplus/(Deficit) ,

3 2018 DRAFT Budget CAPITAL BUDGET Budget % Year to date Budget % Approved Share Actual DRAFT Share 4014 AdjalaTosorontio Special Levy 45, , , Mono Special Levy 45, , , Mulmur Special Levy 45, , , Total Large Capital Levy 135, , , Transfer in from Reserves 432, , , Total Capital Revenue 567, , , Capital Expenses 5104 Capital Radios & Pagers 5, , , Capital Protective Gear & Equipment 12, , , Capital Repeater 5, , Misc.Capital purchases , Large Truck Purchase 410, , Trans to Large Capital Reserve 135, , , Total Capital 567, , , Net Capital Surplus/Deficit 0.00 (5,184.34) 0.00 Capital Continuity Opening Reserve Balance 238, , , Capital Levy Additions 135, , , Less Capital purchases (432,000.00) (21,815.16) (452,000.00) Ending Reserve Balance (58,269.00) 351, , $5K increase to reflect the purchase of equipment Ie hoses, nozzles, Misc TCA

4 Financial Statements Year ended December 31, 2017 Contents Independent Auditor's Report Financial Statements Statement of Financial Position Statement of Operations and Accumulated Surplus Statement of Change in Net Financial Assets Statement of Cash Flows Notes to the Financial Statements 5 6

5 IBDO!" #$ BOO Canada LLP The Gates of York Plaza Yonge Street, Unit 11 Newmarket ON L3Y 7R9 Canada Independent Auditor's Report To the Board of Directors of the We have audited the accompanying financial statements of the, which comprise the statement of financial position as at December 31, 2017, and the statements of operations and accumulated surplus, statement of change in net financial assets and cash flows for the year then ended, and a summary of significant accounting policies and other explanatory information. Management's Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with Canadian public sector accounting standards, and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor's Responsibtlity Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with Canadian generally accepted auditing standards. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. An audit also includes evaluating the appropriateness of accounting policies used and the of!" #$! %!&'() *+, -.,/012 presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Opinion :; < = >: >?@AB : CDE FG H IJ BK E#"L#MNO PQ# RSTUVWX01 Y-Z[*X\] -^ _`a as at December 31, 2017 and the results of its operations, changes in its net financial assets and its cash flows for the year then ended in accordance with Canadian public sector accounting standards. Chartered Professional Accountants, Licensed Public Accountants March 16, 2018 Newmarket, Ontario BOO Canada LLP. a Canadian umued hab1lity partnership. rs a member of BOO International Limited, a UK company limited by guarantee. and forms pen of the international BOO network of Independent member firms. 2

6 , -- December Financial assets Cash Accounts receivable net of allowance! "#$%&' () *&+ Liabilities Accounts payable and accrued liabilities, -./0123 Net financial assets &89: Non-financial assets Tangible capital assets (Note ; 6 <= >?@ABCDE Accumulated surelus PNote FG HIJKLM NOP QRSTUVWXY!"# $% &'()*!+,

7 Statement of Operations and Accumulated Surplus!" #$ % & '( ) *+,-. / '8 9:;< =:>?@ ABCDE ) F+G+46/ H01 2 I -JK6/ :LMNNN :LON PQRCSST UJ5 V HHW :NXNNN YZL[ Q#C\# ] ^"5 # _`[a bcde# fgh_yi jpsks#q lmn op q rstu+v +wf x!y*z{ /0 G64+K6} 6W~ W # i #ƒ[? # Q ˆ 7W 5Š JŒ 6HH~ #Ž L E. +* 5 n J q ˆ + ' 'V0 šln Bœe BCER I/w ^J*z [ [N ž Ÿa C S +Wn K x ~ N :Ÿ RA n}wª «* x{ W c BD B R: ±² +³ 0* 5µ6+5W 6Fˆ yj* 0*6* 0 Y N Y kb P ¹+Œº» Œ 5G ¼'+ JŠ' ½N :Li ¹{5W 6+ W µ¾/+0w L NN ÀÁe[ AÂA Ã*W Œ6*?YÄNN [ÅÆe _ cça )+qèé..6'0w ~ Ê ËYe CÌ_ ] JG0 Í N Îea PÏÐQ ÑŒÒ 0WWJ ' H x 0W :;ÓN #ÔÕ:i QÖTS / Ø0W 'Ù *0 + ~ Ú Û:< #?Ü?[ BC P Ý0/0- Š'0 ÞßYN àáâe AkR R Ý5ãJ'+'8 [än #?æ ç +/J {~ BNèée ê?? _C #S ë0^j ì í[î BLïYðL P Bæ :ñ ò:l #:BóôD EQÖ#_Q õo ö Œnì(q ø #ù?ú _k_ S ûüýþÿ y ŒnH p 8J*F+* 0 5 NLa: D;Y:: P C_# VV (ì *ˆ x 0!"#$% &'()*+ B,-./01234 The accompanying notes are an integral part of these financial statements.

8 Statement of Change in Net Financial Assets Budget Year ended December (Note Annual surplus Acquisition of tangible capital assets Amortization of tangible capital assets!"!# $ Use of prepaid expenses! " %! " & ' ( ) Net change in net financial assets! " %! * '+,- Net financial assets, beginning of the year./ '3 Net financial assets1 end of the [ear : ;<=>?@A BCDEFGH!"#$%!& '#()"*+

9 Statement of Cash Flows Year ended December Operating transactions Annual surplus Items not involving cash Amortization of tangible capital assets Changes in non-cash operating balances Accounts receivable Prepaid expenses! Accounts payable and accrued liabilities " #$ % &'() * +,-. Capital transactions Acquisition of tangible capital assets / 01) Net change in cash 789: ; Cash, beginning of the year <) = & Cash, end of the lear _ >?@ABCD EFGHIJK...!" #$%& ' ()'*

10 Notes to Financial Statements December 31, Summary of Accounting Policies Management's Responsibility for the Financial Statements Basis of Accounting Tangible Capital Assets The financial statements of the department are the responsibility of management. They have been prepared in accordance with Canadian generally accepted accounting principles established by the Public Sector Accounting Board of the Chartered Professional Accountants of Canada (CPA Canada). (the "department") is a Fire Department in the Province of Ontario and operates under the provisions of the Community Charter. The department provides fire services to the Township of Mulmur, Town of Mono and Township of Adjala-Tosorontio. Sources of financing and expenses are reported on the accrual basis of accounting. The accrual basis of accounting recognizes revenues in the period in which the transactions or events occurred that give rise to the revenues; expenses are recognized in the period the goods or services are acquired and a legal liability is incurred or transfers are due. Non-financial assets Non-financial assets are not available to discharge existing liabilities and are held for use in the provision of services. They have useful lives extending beyond the current year and are not intended for sale in the ordinary course of operations. Tangible capital assets are recorded at cost less accumulated amortization. Cost includes all costs directly attributable to acquisition or construction of the tangible capital asset including transportation costs, installation costs, design and engineering fees, legal fees and site preparation costs. Contributed tangible capital assets are recorded at fair value at the time of the donation, with a corresponding amount recorded as revenue. Amortization is recorded on a straight-line basis over the estimated life of the tangible capital asset commencing once the asset is available for productive use as follows: Firehall and improvements Vehicles Truck Mounted Equipment Equipment 5 to 50 years 15 to 25 years 10 to 25 years 5 to 15 years A full year of amortization is charged in the year of acquisition and no amortization is charged in the year of disposal. The department has established a $2, 500 capitalization threshold for all items with the exception of pooled assets. Assets purchased below this threshold are expensed in the statement of operations in the year of purchase. Assets under construction are not amortized until the asset is available for active service to the department. 7

11 Notes to Financial Statements December 1. Summary of Accounting Policies (continued) Use of Estimates Government Transfers Revenue Recognition Tangible Capital Assets The preparation of financial statements in accordance with Canadian public sector accounting standards requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. The principal estimates used in the preparation of these financial statements include the useful life and valuation of tangible capital assets. Actual results could differ from management's best estimates as additional information becomes available in the future. Revenue is recognized when the transfer is authorized and any eligibility criteria are met, except to the extent that transfer stipulations give rise to an obligation that meets the definition of a liability. Transfers are recognized as def erred revenue when transfer stipulations give rise to a liability. Transfer revenue is recognized in the statement of operations as the stipulation liabilities are settled. Fire calls and other revenue are recognized on an accrual basis when services have been rendered. Accumulated Net Book Net Book Cost Amortization Value Value Land, firehall and improvements! "# Truck Mounted Equipment $%$&'"( )(*(+,-. ( "/ Vehicles , 6$, $ 789 :'$; :< Equipment 5= >?@ $A B 0 ;C< D, E(FG * HI+' 0;JKL;'M5 N

12 Notes to Financial Statements December 31, Budget The Financial Plan (Budget) adopted by the Board on April 13, 2017 was not prepared on a basis consistent with that used to report actual results (Canadian public sector accounting standards). The budget was prepared on a modified accrual basis while Canadian public sector accounting standards now require a full accrual basis. The budget figures anticipated use of surpluses accumulated in previous years to reduce current year expenditures in excess of current year revenues to $nil. In addition, the budget expensed all tangible capital expenditures rather than including amortization expense. a result, the budget figures presented in the statements of operations and change in net financial assets represent the Financial Plan adopted by the Board on April 13, 2017 with adjustments as follows: 2017 Financial Plan (Budget) surplus for the year Add: Capital expenditures Budgeted transfers to reserves Less: Amortization of tangible capital assets Budget per statement of operations 135,000 (73,826) 61, Accumulated Surplus Operating Tangible Capital Fund Capital Assets Reserve Total Opening 104,469 1,062, ,731 1,405,933 Surplus 147,066 (73,826) 73,240 Transfer to I from tangible capital assets (28,950) 28,950 Transfer to reserve (113,185) 113, ,400 1,017, ,916 1,479, 173

13 Notes to Financial Statements The department is managed by a six member board known as the Rosemont District Fire Department Joint Board of Management. Two members have been appointed from each participating municipality to the Fire Department Joint Board of Management. Annual minor capital, operating and administration costs of the department are shared on a combined average percentage of the number of acres, the number of households, and the equalized assessment of the previous year of each participating municipality as follows: Township of Adjala-Tosorontio Town of Mono Township of Mulmur!" #$%# & '( )%)* +,- % % %./. % Subsequent to year end the department entered into a contract to purchase a fire truck for a maximum of 789)), :